An Empirical Study of Capital Structure and Financial Efficiency of Bajaj Finance Limited

K. Sathish1, A. Saritha2

1Assistant Professor, Department of Master of Business Administration, CMR Institute of Technology, Medchal, India

2Student of Master of Business Administration, CMR Institute of Technology, Medchal ,India

Email id: sarithaavula2003@gmail.com

Abstract:

         The present study aims to analyse the relationship between the company’s capital structure and its financial efficiency during the period 2021–2025. Capital structure, which refers to the mix of debt and equity used to finance business operations, plays a vital role in determining profitability, risk, liquidity, and overall financial performance. The study is based on secondary data collected from the annual reports, financial statements, company publications, and other reliable sources. Various financial ratios such as Debt–Equity Ratio, Debt-to-Total Assets Ratio, Financial Leverage Ratio, Return on Assets (ROA), Return on Equity (ROE), Net Profit Ratio, Current Ratio, Quick Ratio, Asset Turnover Ratio, Receivables Turnover Ratio, and Working Capital Turnover Ratio were used to assess capital structure and financial efficiency.

Keywords: Capital Structure, Financial Efficiency, Debt–Equity Ratio, Profitability and Liquidity.